Coupon use rises as hard times hit

• Americans, Brits more budget-aware

Coupon usage in North America and the United Kingdom (UK) has increased significantly, due largely to the slow economic times. And they are not only being used by low-income families.

According to a 2009 press release by Nielsen, a global media and surveying company, affluent consumers in the United States (US) with an income of US$70,000 or more per year are considered the most likely to use coupons, whereas low-income households, African-Americans and Hispanics are among those least likely to use coupons.

A similar trend is visible in the UK, where online giants such as Groupon, an online voucher supplier with more than five million users in the UK, have made it possible for Britons to walk into a restaurant with a half-price voucher without feeling stingy or uncomfortable.

According to a survey by Epsilon, in Canada, coupon usage was significantly lower than in the US, with 28 per cent of those questioned in the US using coupons more than once per week. Only 16 per cent of Canadians surveyed used coupons more than once each week.

However, Canadian coupon usage has also been impacted by the harsh economy. Research shows that 38 per cent more Canadians used more coupons in 2009 than in 2008. In the US, 43 per cent of consumers used more coupons in 2009 than in the previous year.

In the UK, this year, 61 per cent of consumers have used coupons compared to 52 per cent last year.

Epsilon's research has shown that the psyche of consumers in the US and Canada has changed since the recession, with 20 per cent of Canadians questioned and 27 per cent of US consumers surveyed saying they were more likely to use coupons even after the economy improves.

Brian Rainey, president of Epsilon Targeting has commented on the survey: "Especially in challenging economic times, consumers are budget-minded and coupons can drive purchases and create brand loyalty."